(1) Every registered dealer and every dealer who is liable to get himself registered under this Act shall furnish every month to the Commissioner, a return in such form, by such date as may be prescribed and shall furnish along with such return satisfactory proof of payment of tax payable by him under this Act:

Provided that a dealer who files quarterly return under VAT Act may furnish return under this Act every quarter paying the full amount of such tax as payable for the preceding quarter.

Explanation. - A return not accompanied by proof of full payment of the tax due in respect of a tax period shall not be deemed to be a return for the purpose of this section.

(2) (a) If any dealer, having furnished a return under sub-section (1), discovers any omission or error in the return so furnished, he may file a revised return before the date on which the return for the next tax period becomes due.

(b) Revised returns may also be furnished by the registered dealer under this Act if revised returns are furnished under VAT Act and the rules made thereunder:

Provided that revised return may not be filed under this Act if the revised return furnished under VAT Act does not relate to the transaction of scheduled goods.

(3) Every return under this section shall be signed and verified by-

(a) the individual himself, in case of an individual, and where the individual is absent, any person duly authorised by him in this behalf;

(b) the Karta, in the case of a undivided Hindu Family;

(c) the principal officer, in the case of a Company or local authority;

(d) any partner thereof not being a minor in the case of a firm;

(e) any person competent to act in that behalf, in the case of any other association;

(f) an officer duly authorised by that Government, in case of a Government.

Explanation. - For the purpose of clause (c) of sub-section (3), the expression "principal officer" shall have the meaning assigned to it under clause (35) of section 2 of the Income Tax Act, 1961 (43 of 1961.).

(4) Any return signed by a person who is not authorised under subsection (3) shall not be treated as a return for the purposes of this Act:

Provided that any amount deposited on the basis of such return shall not be refunded except where it is established under the provisions of this Act to be otherwise payable.

(5) Where a dealer required to file return under this section fails without sufficient cause to pay the amount of tax due as per the return for any tax period or fails to furnish return, such dealer shall be liable to pay interest in respect of-

(i) the tax, which he fails to pay according to the return ; or

(ii) the tax payable for the period for which he has failed to furnish return, at the rate of one per centum per month from the date the return for the period was due to the date of its payment or the date of order of assessment, whichever is earlier.

(6) If any dealer, without sufficient cause, fails to pay the amount of tax due and interest payable thereon along with return under subsection (1) or revised return under sub-section (2), the Commissioner may, after giving the dealer a reasonable opportunity of being heard, direct him to pay in addition to the tax and the interest payable by him, a

penalty at the rate of two per centum per month on the tax and interest so payable, from the date it had become due to the date of its payment or the order of assessment, whichever is earlier.

(7) If any dealer, without any sufficient cause, fails to furnish the proof of payment as required under sub-section (1), the Commissioner may, after giving the dealer a reasonable opportunity of being heard, direct him to pay in addition to any tax, interest and penalty under subsection (5) or (6) payable or paid by him, a penalty of a sum of rupees fifty per each day of default subject to a maximum of rupees five thousand.

(8) The penalties under this section may be imposed by the Commissioner notwithstanding the fact that assessment proceedings have not been initiated against the dealer under section 9 C or section 10.

(9) Any penalty imposed under this section shall be without prejudice to any prosecution for any offence under this Act.

(10) Each and every return in relation to any tax period furnished by a dealer under this section, shall be subject to scrutiny by the assessing authority to verify the correctness of calculation, application of correct rate of tax and interest, claim of deductions, if any, under this Act and full payment of tax and interest payable by the dealer for such period.

(11) If any mistake is detected as a result of scrutiny made under subsection (10), the assessing authority shall serve a notice in the prescribed form on the dealer to make payment of the extra amount of tax alongwith the interest as per the provisions of this Act, by the date specified in the said notice.